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The Independent
21-05-2025
- Business
- The Independent
Married Kohl's CEO affair with a Walmart exec was retail's dirty little secret. When it was exposed, it upended retail
Kohl's CEO Ashley Buchanan's affair with former Walmart executive Chandra Holt was retail's dirty little secret – until he was fired for bolstering her business. Buchanan, 51, was fired by Kohl's earlier this month after an investigation revealed he had brokered a deal for the department store to sell products from 45-year-old Holt's coffee startup, Incredibrew, an explosive report in The Wall Street Journal detailed. The terms of the deal, which were 'unusual' and favorable to Incredibrew, raised red flags for some employees. Buchanan was ultimately fired for breaking the retailer's ethics code by failing to disclose his relationship with Holt. While there was gossip among employees about a potential romance between Buchanan and Holt dating back years, Kohl's Chairman Michael Bender, who had worked with the pair at Walmart a decade ago, was left out of the loop. During a meeting, Bender demanded to know if he was dating Holt, to which Buchanan replied 'yes,' according to the report. The relationship, an open secret for years as the pair worked at Walmart and later craft store Michaels, culminated in the pair each filing for divorce from their respective spouses in 2020. Soon after, they moved into a $3 million stone house at the Vaquero Club, a wealthy Dallas suburb teeming with mansions, where they would be seen playing tennis together. Court records also showed that an extramarital affair between Holt and Buchanan had a role in her divorce, according to the report. Two bosses of major retailers Both Buchanan and Holt had been in charge of major retailers over the years, with her leading Bed Bath & Beyond and another smaller Texas company. She had also started Incredibrew and was marketing it to both Kohl's and Michaels while Buchanan was running them. The pair mostly kept quiet about their relationship, according to people who worked with them and court documents. When Michaels tried to recruit Holt for a senior role soon after Buchanan became CEO in 2020, he didn't disclose their relationship, one person familiar with the matter told the WSJ. Holt declined to take the job. Buchanan also failed to disclose his relationship with Holt to some merchants, who decide what products the store sells customers, when Michaels decided to add Incredibrew to its stores, according to the report. When he was fired by Kohl's, Buchanan claimed he just made introductions for merchants but never required them to buy any specific products, one person who spoke with him said. Legal repercussions Kohl's announced Buchanan's firing on May 1, saying an investigation by outside lawyers found he had violated the company's ethics code and helped arrange a deal to sell Holt's coffee products. Buchanan had dictated the payment terms and the order was for hundreds of Kohl's stores, according to the report. Kohl's also noted the deal's terms were 'unusual' and favorable to the vendor, according to the report. The investigation also uncovered that Buchanan had caused Kohl's to enter a multimillion-dollar consulting agreement with Boston Consulting Group, where Holt served as an advisor at the time. When interviewed for the investigation, Holt said she'd known Buchanan for 10 years and they weren't romantically involved when Michaels was trying to hire her. She also said her new business, Incredibrew, hadn't been compensated by Kohl's. Boston Consulting Group later terminated Holt's contract as a result of the non-disclosure.
Time of India
02-05-2025
- Business
- Time of India
Who is Chandra Holt? Former Walmart exec in spotlight as Kohl's CEO Ashley Buchanan fired over vendor deal
Chandra Holt (L) is now at the center of a corporate scandal involving her former Walmart colleague, and reported former romantic partner, Ashley Buchanan(R). Chandra Holt, once considered one of the most promising executives in American retail, is now at the center of a corporate scandal involving her former Walmart colleague, and reported former romantic partner, Ashley Buchanan . Buchanan was fired this week as CEO of Kohl's after the company accused him of engineering a vendor deal riddled with 'undisclosed conflicts of interest.' According to a filing with the US Securities and Exchange Commission, Buchanan directed Kohl's to enter into a multimillion-dollar contract with a vendor that allegedly had 'highly suspicious' and 'favorable' terms. The filing did not name the vendor or the individual involved, but The Wall Street Journal identified the woman as Chandra Holt. Holt responds In a statement to The Journal, Holt confirmed she had known Buchanan for a decade but denied any business wrongdoing. 'I've known Ashley Buchanan for 10 years, but I have not received any compensation for my Incredibrew business from Kohl's,' she said. Holt is the founder and CEO of Incredibrew, a coffee brand she launched in 2022 that claims to infuse beverages with vitamins and minerals. It remains unclear whether Incredibrew was the vendor involved in the Kohl's deal under scrutiny. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Google Brain Co-Founder Andrew Ng, Recommends: Read These 5 Books And Turn Your Life Around Blinkist: Andrew Ng's Reading List Undo Corporate ties and shared history Buchanan and Holt first crossed paths at Walmart, where they worked closely before departing around the same time for other executive roles. Buchanan left in early 2020 to head arts-and-crafts giant Michaels, while Holt exited in 2021 to become CEO of Conn's HomePlus. Most recently, she served as CEO of Beyond, Inc, the parent company of and Bed Bath & Beyond, between February 2024 and June 2024. Her impressive résumé includes leadership stints at Target, Sam's Club, and Walgreens. She holds a Bachelor of Arts in advertising, PR, and communications from the University of Minnesota, Twin Cities, and an MBA in strategy and marketing from the Carlson School of Management. Fallout at Kohl's Buchanan's exit comes amid a challenging period for Kohl's. The company reported a 7.2% drop in annual sales to $15.4 billion and announced plans to close more than two dozen underperforming stores. The firing triggered serious consequences: Buchanan must now forfeit all equity awards granted during his tenure and repay a prorated portion of his $2.5 million signing bonus. While Kohl's emphasized that the CEO's termination had 'no bearing on the company's financial performance,' the incident adds turbulence to a company already struggling with leadership instability . Buchanan was the third CEO in as many years, following short-lived tenures by Tom Kingsbury and Michelle Gass. What's next for Holt? Although no formal allegations have been made against Holt, her name is now linked to a boardroom controversy that could complicate her professional path. With her leadership record and entrepreneurial success through Incredibrew, the coming months may determine whether Holt can distance herself from the scandal or whether her past with Buchanan will cast a longer shadow. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Straits Times
02-05-2025
- Business
- Straits Times
US retail giant Kohl's fires CEO for directing millions to romantic partner
The CEO change will mark the company's fourth chief executive since 2018. PHOTO: AFP NEW YORK – Retail chain Kohl's said it fired its chief executive officer only months into his tenure after the board uncovered that he directed millions of dollars of business to someone he has had a personal relationship with that wasn't disclosed. The company said it's starting a search to find a permanent CEO replacement following the departure of Ashley Buchanan, who came to Kohl's in January from retailer Michaels. Chairman Michael Bender will serve as Kohl's interim CEO, according to a statement. Mr Buchanan's business dealings were with a woman he has been romantically involved with, named Chandra Holt, according to a person familiar with the matter. The two served together as executives at Walmart's discount chain Sam's Club in the late 2010s. Ms Holt then served brief stints as the CEO of retailers Bed Bath & Beyond and Conn's. She is now a consultant and the founder of vitamin-seller Incredibrew. 'I've known Ashley Buchanan for 10 years, but I have not received any compensation for my Incredibrew business from Kohl's,' Ms Holt told Bloomberg News. Mr Buchanan's relationship with Ms Holt was an open secret inside Walmart, their past employer, and across the retailer's hometown of Bentonville, Arkansas, according to people familiar with the matter. Three months ago, Ms Holt congratulated Mr Buchanan for his new role as CEO of Kohl's on a public post on Linkedin. Later, Mr Buchanan reposted a video on LinkedIn from Ms Holt promoting her Incredibrew products. Mr Buchanan's termination follows an outside investigation overseen by the board's audit committee. The probe determined that Mr Buchanan 'had directed that the company conduct business with a vendor founded by an individual with whom Mr Buchanan has a personal relationship on highly unusual terms favourable to the vendor.' Mr Buchanan pushed the company to enter into a multimillion dollar consulting agreement wherein the same individual was a part of the consulting team, the board found. Kohl's said that in neither case did Mr Buchanan disclose this relationship as required under company's code of ethics. The retailer said that Mr Buchanan's termination is unrelated to the company's performance and did not involve any other company personnel. He'll also be required to reimburse the firm US$2.5 million (S$3.3 million) from his signing bonus, it said. The CEO change will mark the company's fourth chief executive since 2018. Kohl's shares rose 8.4 per cent on May 1, as it reported better-than-expected preliminary first-quarter earnings, but the stock is still down roughly 70 per cent over the last year. After Mr Buchanan took over as CEO in January, Kohl's cut about 10 per cent of its corporate workforce to improve profitability. It's also closing underperforming stores. It's a 'blow upon a bruise for the beleaguered department store chain,' Neil Saunders, managing director at GlobalData, said in a research note. While it's not related to performance, 'it gives the impression that Kohl's is in perpetual state of chaos and it raises some questions about the due diligence over his appointment.' 'One small positive is that Kohl's board moved decisively,' said David Swartz, a senior equity analyst at Morningstar. BLOOMBERG Join ST's Telegram channel and get the latest breaking news delivered to you.
